May 2015
Shareholder
Exclusive
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A message from
your Chairman
A message from
your Chief Executive
Direct dividend
information
Shareholder prize
draw and offers
2
3
4
6
We use the power of
communications to
make a better world
1
A message from your Chairman
This year’s Notice of meeting
together with our Annual Report
and Form 20-F 2015 are now
available on our website at
www.bt.com/annualreport
We have performed well this year, with our investments
delivering for the business in challenging market
conditions. As a result of our progress, the Board is
proposing a final dividend of 8.5p, up 13%. This gives a
full year dividend of 12.4p, up 14%. We expect to grow
our dividend per share by 10%-15% next year and to
pay a progressive dividend beyond that.
Our fibre broadband investment has been a major
achievement. It has been one of the fastest rollouts in the
world and we’ve come in on budget and ahead of schedule.
And demand for it is strong. The number of premises
connected rose over 50% this year. We aim to go further,
upgrading our fibre network to ultrafast speeds in the
coming years.
We have invested further in our customer service by
recruiting 2,500 new engineers and more than 500
new people into our contact centres. And we’re seeing
the benefits of our investment. But we didn’t meet our
customer perception targets and in a competitive market
we need to do more.
We enclose your AGM admission card/proxy card.
Your votes are important to us. If you are not able to come
to the AGM, please use the card to send us your voting
instructions. If you are coming to the AGM, please bring
the card with you to help with identification and keep it
until the end of the meeting to vote.
We have also seen strong demand for our television and
sports offerings, with more than a million homes now
subscribing to BT TV and more than five million to BT Sport.
Our goal is to drive sustainable, profitable revenue
growth supported by the investments we are making.
Together with our cost transformation activities this will
provide a powerful platform for long-term cash flow
growth, and therefore value creation for our shareholders.
We successfully launched BT Mobile into the consumer
market and re-launched our business mobile propositions.
We also announced the proposed acquisition of EE,
the leading mobile operator in the UK. This will be
a transformational deal for BT, accelerating our
mobility strategy.
Sir Michael Rake
Chairman
6 May 2015
17,000
adjusteda
2
6,271
6,018
5,840
6,116
6,143
5,800
5,600
2013
reported
6,000
5,791
17,979
17,500
6,200
17,851
18,000
18,287
£m
6,400
18,287
£m
18,500
18,339
EBITDA
Year ended 31 March
18,103
Revenue
Year ended 31 March
2014
2015
2014
2015
1%
0%
2%
2%
2013
reported
adjusteda
2014
2015
2014
2015
1%
0%
3%
3%
A message from your Chief Executive
I’m pleased our BT Sport TV channels continue to prove
popular with customers. We secured FA Premier League
football rights for a further three years, and an extension
with Aviva Premiership Rugby for a further four years.
With exclusive live football from the UEFA Champions
League and UEFA Europa League, we’ll be showing even
more top sporting action from this summer.
It has been a ground breaking year for BT – one in which
we have made some key decisions and announced
major investments.
Our decision to buy EE, the leading UK mobile operator,
will enable us to combine the best fixed network
with the best mobile network. We launched our own
new mobile services during the year, using EE’s network
to deliver them – but acquiring the company means
we can accelerate our future plans and look at ways of
offering customers new, innovative and seamless services.
We’re delighted the proposed acquisition was approved
overwhelmingly by shareholders and we now await
regulatory approval.
We also announced plans to transform the UK’s fibre
broadband landscape from superfast to ultrafast.
Innovation has always been at the heart of BT and it’s
thanks largely to important research work that we
can now plan the move to ultrafast using the existing
superfast infrastructure we’ve rolled out – infrastructure
which will soon get to more than 90% of UK premises.
What we envisage is the right thing for both BT and
the UK, providing even faster speeds in an already
competitive market.
Adjusted earnings per sharea
Year ended 31 March
2015
2014
Change
31.5p
28.2p
12%
a Items presented as adjusted are stated before specific items.
When it comes to the business-to-business market,
we seek to help companies around the world. The past year
we saw our investments outside the UK continue to deliver,
particularly in Asia and the Middle East.
We continued to make customer service improvements,
increasing the speed with which we connected new
customers and repaired faults. We fixed more customer
issues first time. But we recognise we’re not yet where we
want to be and this will continue to be a key priority for us.
Financially, the year ended with us announcing results in
line with or ahead of market expectations. We continued
our progress towards sustainable revenue growth,
registering revenue figures which were broadly flat overall,
though with growth in our consumer division and strong
growth in EBITDA and cash flow for the Group.
These results and the investments we are making, position
us well for the future. We have a strong platform to build
on and a team I know will deliver. We are looking forward
to the year ahead.
Gavin Patterson
Chief Executive
6 May 2015
Proposed full year dividend
Year ended 31 March
2015
2014
Change
12.4p
10.9p
14%
3
Receive your dividends
direct and have a
chance to win one
of our great prizes
Why not receive your dividends direct to your bank or building society account?
All you need to do is call us with your bank details on 0808 100 4141 – it’s free.
For more details go to www.shareview.co.uk
Don’t delay – sign up today – the prize draws close on 31 July 2015.
Why choose direct dividend payment?
4
It’s more secure.
No trips to the bank.
We’ll still send you a
consolidated tax voucher.
No fees for lost
cheques.
Get away from it all
Win a 3-night weekend break with Warner Leisure
Hotels at any one of their stylish hotels*. Stay in a
standard room and enjoy a range of daytime activities
including full use of the leisure and sports facilities.
Delicious breakfasts and evening meals are also included.
All prize winners must be over 21 years of age.
iPad Air
Naked Wines
Win a new, 16GB iPad Air*. Thin, lightweight and
Wi-Fi enabled, it’s one of the best tablets around.
All shareholders who register to receive dividends
direct will automatically receive a £30 credit with
Naked Wines when you order a 6 or 12-bottle
case of wine.
It has a re-engineered 9.7-inch Retina display,
the revolutionary Touch ID fingerprint sensor,
a powerful A8X chip with 64-bit architecture,
a new iSight camera, an improved FaceTime HD
camera, faster wireless, iOS 8, iCloud and up to
10 hours of battery life. It also comes with great
apps for productivity and creativity.
What’s more all shareholders who choose direct
dividends will be entered into a prize draw to win
a 6-bottle case of Moutard Champagne*.
*To enter, sign up to receive direct dividends. For all prize draw terms and conditions, go to www.bt.com/signup
All prize draws close on 31 July 2015.
5
Shareholder prize
draw and offers
iPad mini 3
One lucky shareholder could win a brand new Apple
iPad mini 3. With 16GB memory and Wi-Fi, the iPad
mini 3 comes with powerful apps for the things you do
every day, like surfing the web, checking email, editing
videos and photos, writing reports and reading books.
There are hundreds of thousands of apps on the App
Store, so whether it’s photography, gaming, travelling
or managing your finances, you’ll find an app that will
help you do it better.
To enter and request prize draw terms and conditions
call 0800 138 5110 or go to www.bt.com/signup
The prize draw closes on 31 July 2015.
BT Shop
Fred. Olsen Cruise
Save 25% on the BT Dual Band Wi-Fi Extender
600 and extend the range of your Wi-Fi around
your home!
There’s no better way to travel the world than on a
cruise ship and generations of sailing heritage has
enabled Fred. Olsen to really refine the cruising
experience. BT shareholders can save up to £100 per
person off selected Fred. Olsen cruises departing on
various dates in 2015 to exciting destinations such as
France, Spain and the Norwegian Fjords. Plus upgrade
to All Inclusive from just £10 per person per night.
To find out what’s available, call 0800 917 0514
or visit www.bt.com/shop/shareholder
Demand is usually very high, so we’re only able
to make these offers available for a limited period.
To book call 0800 0355 150 quoting GRP0095 and
BTSHARE. Bookings must be made by 31 July 2015.
6
For more shareholder offers, go to www.bt.com/signup
Become an
e-shareholder
As an e-shareholder, everything’s more
straightforward. We’ll communicate
with you electronically and your
dividends will be paid directly into
your bank or building society account.
It’s easier and quicker all round.
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How do I sign up?
Step one
Step two
Register online at www.bt.com/signup
or scan the QR code, give us your email
address and add your shareholder
reference number.
Look out for your activation code in
the post. When you receive it, add your
bank or building society details online.
If you already receive your dividends direct to your
bank or building society account, you can become
an e-shareholder by signing up to receive your
communications electronically. All you need is your shareholder reference number
and your email address.
Go to www.bt.com/signup for more information on
e-shareholding and to register your e-shareholder account.
Then update your details to ‘email’ rather than
‘paper’. It couldn’t be easier!
7
Introducing Consolidated Tax Vouchers
From the 2015/16 UK tax year, we will send you Consolidated Tax Vouchers.
By choosing to receive your dividends direct to your bank or building society, you will automatically receive an
annual consolidated tax voucher with our annual mailing in May, giving you all your BT dividend tax information
for the previous tax year in one statement.
SEPT
MAY
Separate tax vouchers for
each dividend.
One tax voucher covering all dividends
paid in the previous tax year.
FEB
Contact information
Shareholder
helpline
For general enquiries call:
Freefone:
0808 100 4141 (+44 121 415 7178*)
Textphone:
0800 169 6907 (+44 121 415 7028*)
BT Shop:
0800 917 0514
Online
Post
You can find information on how
to manage your shareholdings at
https://help.shareview.co.uk
Equiniti, Aspect House,
Spencer Road, Lancing,
West Sussex, BN99 6DA,
United Kingdom
If your question is not answered by
the information provided, you can
send your enquiry via secure email
from these pages.
*calls from outside the UK
BT Group plc
www.bt.com
Registered office: 81 Newgate Street, London, EC1A 7AJ
Registered in England and Wales No. 4190816.
PHME: 73833
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